Intro: India’s industrial and warehousing sector surged by 22 percent in early 2026, driven by logistics, e-commerce, and manufacturing demand.
NEW DELHI
India’s industrial and warehousing sector is off to a flying start this year. A new report shows that demand for large storage spaces grew by an impressive 22 percent during the first three months of 2026.
Businesses across the country snapped up 11 million square feet of space to keep up with growing consumer needs.
Leading the charge was the Delhi-NCR region, which accounted for nearly one-third of the total demand. Chennai followed closely behind, showing strong interest from various industries. Interestingly, cities like Hyderabad and Bengaluru saw their leasing numbers double or even triple compared to the same time last year, marking a massive shift in regional growth.
The biggest drivers of this trend are logistics companies that manage shipping and deliveries for others. These firms accounted for about 33 percent of the total space taken. Online shopping platforms and car manufacturers also played a major role, as they look to modernize their supply chains and reach customers faster. Even electronics and grocery brands are joining the race, renting significantly more space than they did a year ago.
Experts note that while the market is booming, developers are being cautious. Global tensions and supply chain issues mean new construction might slow down slightly. However, government policies supporting local manufacturing continue to give the industry a boost. Despite some international uncertainty, the desire for modern, efficient warehouses remains higher than ever, proving that India’s industrial heartbeat is stronger and more resilient than before.